CHINESE PMI DATA HELPS BOOST THE USDJPY PAIR
The USDJPY pair has moved higher in the Asian session, after better than expected Chinese May PMI manufacturing data helped boost trading sentiment.
Yesterday USDJPY fell to a nine day trading low at 110.66, but today recovered above the 111 level, after Chinese May manufacturing PMI continued to show a expansionary figure of 51.2, beating expectations, and helping to recede fears of a slowdown in the Chinese economy.
Short term indicators point to further bullish advancement whilst the pair trades above the 111.09 level.
111 and 110.90 are currently acting as critical downside support for the pair. A loss of 110.90 may provoke selling towards the Tuesday trading low.
Daily indicators continue to highlight the 50 period moving average at 111.22, as the key pivot point for the USDJPY.
Should the pair manage to trade above this level, further buying towards 112.04 remains possible.